Bill > SB417

This bill revises provisions relating to public utilities, specifically focusing on alternative rate-making plans for natural gas and electric utilities. The bill requires the Public Utilities Commission of Nevada to adopt regulations establishing procedures for natural gas and electric utilities to apply for alternative rate-making plans, which are methods of setting utility rates beyond traditional rate applications. Key provisions include mandating that alternative rate-making plans include an earnings-sharing mechanism when using formula rates or multi-year rate plans, requiring utilities to prove the prudence of capital expenditures, and establishing criteria for evaluating these plans. The regulations must address various aspects such as alternative rate-making mechanisms, information requirements, customer education, record-keeping, and evaluation criteria. The bill aims to provide more flexibility in utility rate-setting while ensuring customer protections, promoting innovation, and balancing the interests of utilities and their customers. Importantly, the bill allows utilities to implement alternative rate-making plans that can include performance-based rates, formula rates, multi-year rate plans, and decoupling mechanisms, with the goal of creating more efficient and responsive utility pricing strategies.

Budget and Finance, Transportation and Infrastructure

Growth and Infrastructure (S)

https://www.leg.state.nv.us/App/NELIS/REL/83rd2025/Bill/12751/Overview